The Charles Schwab Corporation

(New York Stock Exchange)
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Bullish +65

Charles Schwab reports record revenue as Charles Schwab stock costs EUR 80.72

Analyst downgrade Dividend Earnings report AI-generated analysis

πŸ“ˆ Charles Schwab reported record Q3 revenue of USD 7.17 billion, a significant milestone for the financial services giant.

πŸ’° GAAP net income increased 23% year-over-year to USD 2.906 billion, reflecting strong profitability.

πŸ“Š Diluted earnings per share rose 29% to USD 1.62, demonstrating improved shareholder value generation.

🏦 Core net new assets surged 38% to reach USD 190.4 billion, highlighting rapid asset growth.

πŸ“‰ Trading activity intensified with daily average trades climbing 44% to 10.7 million in the quarter.

πŸ“‰ Morgan Stanley downgraded its price target from USD 141.00 to USD 132.00, signaling cautious analyst sentiment.

πŸ’΅ Schwab declared a quarterly dividend of USD 0.32 per share with a record date of November 13, 2026.

πŸ“ˆ Adjusted pre-tax margins expanded to 54.8%, up from 51.3% in the year-ago quarter.

Bullish Signals
  • Charles Schwab achieved record third-quarter revenue of USD 7.17 billion, demonstrating strong top-line growth.
  • GAAP net income surged 23% to USD 2.906 billion, indicating robust operational efficiency and profitability.
  • Diluted earnings per share increased 29% year-over-year to USD 1.62, reflecting improved bottom-line performance.
  • Core net new assets grew 38% to USD 190.4 billion, signaling strong asset gathering capabilities.
  • Daily average trades rose 44% to 10.7 million, highlighting increased client trading activity and engagement.
  • Adjusted pre-tax margins expanded to 54.8%, up from 51.3% the prior year, showing improved cost management.
  • Net interest revenue grew 14% to USD 3.476 billion, contributing significantly to overall earnings growth.
Risk Factors
  • Morgan Stanley cut its price target from USD 141.00 to USD 132.00, reflecting cautious analyst sentiment despite strong results.
  • The stock trades at EUR 80.72 (approx. USD 89.73), which is below the 52-week high of USD 114.53, suggesting potential valuation headwinds or market skepticism.
Full Analysis
Charles Schwab reported record third-quarter revenue of USD 7.17 billion on October 15, 2026, marking a significant year-over-year increase in its financial performance. The company's GAAP net income rose 23% to USD 2.906 billion, while diluted earnings per share climbed 29% to USD 1.62, driven by strong operational growth and expanding client activity. Client engagement metrics surged during the quarter, with core net new assets reaching USD 190.4 billion, a 38% increase from the previous year. Daily average trades also jumped 44% to 10.7 million, indicating robust trading volume and active user participation in Schwab's platforms. Despite the strong operational results, analyst sentiment remains cautious, highlighted by Morgan Stanley cutting its price target from USD 141.00 to USD 132.00 on October 20, 2026. The company maintained a healthy adjusted pre-tax margin of 54.8%, up from 51.3% the prior year, while net interest revenue grew 14% to USD 3.476 billion.